What does corporate governance mean?
Corporate governance is the means by which a company is operated and controlled.
What is the aim of corporate governance?
Is to ensure that companies are run well in the interests of their subsidaries, employees and other key stakeholders
What are the advantages of following good corporate governance principles?
Greater transparency Greater accountability Efficiency of operations Better able to respond torisks Less likely to be mismanaged
How should an audit committee be made up?
Minimum 3 non-executive directors, with one with financial expertise and independant of operational management
What are the objectives of the audit committee?
Increase in public confidence, provide financial awareness and strengthen independance
What is the function of the audit committee?
Monitor financial statements, review controls, monitor and review internal audit and monitor independance of external auditor.